Azerbaijan predicts favorable 13.5% tax burden for non-oil sector in 2027

The tax burden on Azerbaijan's non-oil and gas sector in 2027 is projected at 13.5%, with the actual figure expected to be even lower, Minister of Finance Sahil Babayev said at today's meeting of the Milli Majlis Committee on Economic Policy, Industries, and Enterprising during the discussion of the 2027 budget package, Report informs.

According to the minister, the country operates a highly favorable tax regime for both the private sector and the economy as a whole. The scale of tax benefits and exemptions applied in various areas should be evaluated by the share of tax revenues in the GDP, he said.

"The share of all taxes collected from the non-oil and gas sector in the non-oil GDP is forecast at only 13.5%. Based on execution results, this indicator will be lower, since the actual nominal volume of GDP usually exceeds the forecast. In many areas, we adhere to a conservative approach. This ratio has remained practically unchanged for many years," Babayev noted.